Technology Dividend Opportunity Portfolio, Series 3
Historically, technology companies were recognized for their growth potential and paid little in
dividends. During the internet build-out phase of the 1990s, many companies in the sector were new
businesses, committing capital to research and development and merger and acquisition efforts. Since
then, technology has evolved to become an indispensable part of our lives. Internet usage continues to
grow at a rapid pace. Demand is rising for products such as mobile phones, wireless connectivity,
computer devices, semiconductors and cloud computing.
Today, many technology companies have matured into companies with strong balance sheets and
financial flexibility and are paying dividends, while continuing to reinvest in their businesses. We believe
future growth potential combined with dividend payouts make technology an attractive sector.
This unit investment trust seeks above-average total return by investing in dividendpaying
companies in the technology sector; however, there is no assurance the
objective will be met.
|Not FDIC Insured Not Bank Guaranteed May Lose Value
You should consider the portfolio's investment objective, risks, and
charges and expenses carefully before investing. Contact your financial advisor
or call First Trust Portfolios, L.P. at 1.800.621.1675 to request a prospectus,
which contains this and other information about the portfolio. Read it carefully
before you invest.
An investment in this unmanaged unit
investment trust should be made with an
understanding of the risks involved with
owning common stocks, such as an
economic recession and the possible
deterioration of either the financial
condition of the issuers of the equity
securities or the general condition of the
You should be aware that the portfolio is
concentrated in stocks in the information
technology sector which involves
additional risks, including limited
diversification. The companies engaged
in the information technology sector are
subject to fierce competition, high
research and development costs, and
their products and services may be
subject to rapid obsolescence. Technology
company stocks, especially those which
are Internet-related, may experience
extreme price and volume fluctuations
that are often unrelated to their
Although this portfolio terminates in approximately 15 months, the strategy is long-term.
Investors should consider their ability to pursue investing in successive portfolios, if available.
There may be tax consequences unless units are purchased in an IRA or other qualified plan.
As the use of Internet technology has
become more prevalent in the course of
business, the trust has become more
susceptible to potential operational risks
through breaches in cyber security.
An investment in a portfolio containing equity securities of foreign issuers is subject to
additional risks, including currency fluctuations, political risks, withholding, the lack of adequate
financial information, and exchange control restrictions impacting foreign issuers. Risks
associated with investing in foreign securities may be more pronounced in emerging markets
where the securities markets are substantially smaller, less developed, less liquid, less regulated,
and more volatile than the U.S. and developed foreign markets.
An investment in a portfolio containing
small-cap and mid-cap companies is
subject to additional risks, as the share
prices of small-cap companies and
certain mid-cap companies are often
more volatile than those of larger
companies due to several factors,
including limited trading volumes,
products, financial resources,
management inexperience and less
publicly available information.
The value of the securities held by the
trust may be subject to steep declines or
increased volatility due to changes in
performance or perception of the issuers.